Pump.fun burned roughly $370 million worth of PUMP on April 29 and committed 50% of platform net revenue to ongoing buybacks and burns over the next 12 months. The move reduced circulating supply by 36%. Under the new setup, 50% of net fees from Bonding Curve, Pumpswap, and Terminal will be routed automatically into an immutable smart contract that buys PUMP on the open market and destroys the tokens immediately.
Large onchain burns cut available supply
The Solana-based meme coin launchpad carried out two major onchain burns that day. Data highlighted by Lookonchain showed that 128.22 billion PUMP, worth about $233 million at the time, had already been burned earlier in the session. Pump.fun then continued buying back and removing more supply, bringing the total burn value to about $370 million.
The new system shifts the process away from one-off manual actions. Buybacks and burns are now embedded in a smart contract that cannot be reversed or modified, so the mechanism no longer depends on discretionary team decisions. The remaining 50% of net revenue is reserved for operations and strategic reinvestment.
Revenue allocation has changed from the prior model
Pump.fun previously directed 100% of platform revenue toward buybacks. That is no longer the case. The updated structure splits revenue between token support on one side and operational funding on the other. Since launch, the platform has generated more than $1 billion in lifetime revenue.
In practical terms, the company is formalizing two separate uses for cash flow: a coded deflation mechanism for PUMP and a dedicated budget for running and reinvesting in the business. The article describes this as a way to make the burn commitment verifiable rather than dependent on periodic announcements.
Trading activity jumped after the announcement
Following the news, PUMP rose about 7%. Its 24-hour trading volume climbed 137.87% to $161 million. Market capitalization reached $631.68 million, while fully diluted valuation stood at $1.9 billion.
Even with that move, the token remains about 84% below its all-time high of $0.01214, which was recorded in July 2025. At that time, Pump.fun’s ICO raised $600 million in just 12 minutes, before the token later dropped sharply below its ICO price.
Under the revised structure, part of Pump.fun’s net revenue will keep flowing into open-market purchases followed by immediate burns. The mechanism is now locked in code, and the execution path is meant to run without later changes.